During the quarter, the region’s property markets continued to record a mixed performance; leasing activity was subdued, whilst investment activity was strong, and is on track for a record year. Key highlights include:

Office leasing across the region remains slow as corporates exercise caution and focus on cost saving

Net effective rents declined in almost half of the region’s major markets q-o-q with falls in Beijing, Seoul and Australia. Jakarta, once again, is the region’s top performer with 33 percent growth year on year

Retailer demand is mixed with some slowing in the luxury segment yet expansion from mid-tier brands. Modest rental increases in most markets with Jakarta (2.4 percent) and Beijing (2 percent) leading the q-o-q growth

High-end residential leasing demand remains in line with the office sector with mainly flat rents or slow growth

Retailers are driving leasing demand for industrial space with moderate rental growth (0.5 to 2.5 percent) in most markets

Commercial real estate investment in the region is on track for a record year, up 33 percent q-o-q, driven by Japan, China, Australia and Singapore. Transaction volumes are expected to reach USD 120 billion by the end of the year, matching the record of 2007

Limited rental and capital value growth for the remainder of the year but the forecast for 2014 is stronger with moderate rental increases expected across most sectors and markets.

In addition to these succinct market overviews, the latest APPD includes a series of opinion pieces from across the region:

An overview of the Asia Pacific economy and property market from Dr Jane Murray, Head of Research Asia Pacific.

Debating the China property bubble: the effect of the Shanghai Tower – Joe Zhou, Head of Research, Shanghai and East China

Jones Lang LaSalle has over 50 years of experience in Asia Pacific, with over 26, 700 employees operating in 80 offices in 14 countries across the region. The firm was named ‘Best Property Consultancy’ in three Asia Pacific countries at the International Property Awards Asia Pacific 2013, and won nine Asia Pacific awards in the Euromoney Real Estate Awards 2013. www.ap.joneslanglasalle.com